“Placer is an important evaluation tool for us. Their data bridges the gap between anecdotal and objective data, making it almost impossible to be competitive without it.”

~ Investment Team, Alpine Income Property Trust

The Challenge

During the COVID outbreak and the corresponding uncertainty in market conditions, Alpine Income Property Trust began to dip their toes back into the market, looking for strong investment opportunities. A big box retail property came to their attention - the deal was in the right area, with a strong rent per square foot. Because many retailers were talking about shrinking and the broker didn’t have sales numbers or store performance data, there were hesitations about the property. Alpine Income Property Trust’s investment team needed to determine if they should pursue this big box deal and if it made sense financially; to answer this question, they used Placer to get insights into store visitation and rankings.

The Solution

Using Placer, Alpine analyzed the big box retail location and discovered the property was the #1 ranked store in the state for that retail chain.

Learn more about Visits Trend

Additionally, the store ranked in the 89th and 91st percentile nationally for its chain, and for similar locations overall. With store performance absent from the seller’s offering memorandum (OM), this ranking data gave the Alpine team the insight and leverage they needed to confidently pursue the property, and to bid aggressively amidst market uncertainty, securing a good deal on what appeared to be an underpriced asset.

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The Outcome

Alpine used the Placer data to get comfortable and closed on the deal.  After securing a lease extension, the Alpine team emphasized the store’s strong performance and dispositioned the asset less than 2 years later at a risk adjusted return (RAR) of >20%, a strong success in a rising rate environment.

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